Antibiotic Inventory Policy Design for Minimizing Total Inventory Costs in Pharmacies based on ABC-Fuzzy Classification Analysis Approach using Probabilistic Continuous Review Method

Naufaldanny Farhan Shiddieq, Ari Yanuar Ridwan, Budi Santosa

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

1 Citation (Scopus)

Abstract

PT XYZ is a company that providing the medication needs company employess. Problems that occur at the PT XYZ Pharmacies is the excess inventory in the pharmacy storage of PT XYZ Pharmacieswithout being balanced with customer requests that cause overstock. Ordering goods at the PT XYZ Pharmaciesis done every time there is a shortage of inventory, but the amount of antibiotics purchased at the ordering time does not have a standard that is standard so that there is an excess inventory of antibiotic category drugs. This research was conducted on the category of antibiotic drugs which have a total SKU of 1339 SKU and has a normally distributed demand pattern. Existing antibiotics at PT XYZ has not yet been classified, so it does not yet have priority handling, also caused an overbudget on company finances. The results of this study indicate that the classification of anitibiotics uses the ABC-Fuzzy Classification which is divided into three categories, namely very important with 142 SKU, important with 135 SKU, unimportant with 1062 SKU. The results of the calculation of total inventory costs using the probabilistic continuous review policy resulted in savings of Rp 59,840,285 or 24% lower than the total cost of existing inventory.

Original languageEnglish
Title of host publicationProceedings of the International Conference on Engineering and Information Technology for Sustainable Industry, ICONETSI 2020
PublisherAssociation for Computing Machinery
ISBN (Electronic)9781450387712
DOIs
Publication statusPublished - 28 Sept 2020
Externally publishedYes
Event2020 International Conference on Engineering and Information Technology for Sustainable Industry, ICONETSI 2020 - Virtual, Online, Indonesia
Duration: 28 Sept 202029 Sept 2020

Publication series

NameACM International Conference Proceeding Series

Conference

Conference2020 International Conference on Engineering and Information Technology for Sustainable Industry, ICONETSI 2020
Country/TerritoryIndonesia
CityVirtual, Online
Period28/09/2029/09/20

Keywords

  • ABC-Fuzzy Classification
  • Antibiotics
  • Continuous Review
  • Medicine
  • Overstock

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